PERTH, Western Australia, May 15,
2012 /CNW/ -
MANAGEMENT DISCUSSION AND ANALYSIS
("MD&A")
PERIOD ENDED MARCH 31,
2012
(All figures are in US dollars unless
otherwise indicated and the effective date of this MD&A is
May 14, 2012)
Introduction
Management's discussion and analysis provides a
review of the performance of Ratel Group Limited's ("Ratel Group",
"Company" or "the Group") operations and compares its performance
with those of the preceding year and quarters. Ratel Group was
incorporated on October 18, 2010, and
formed a consolidated group on December 17,
2010, hence the prior year comparatives show the results for
the period from incorporation. This discussion also provides
an indication of future developments along with issues and risks
that can be expected to impact future operations. This report
has been prepared on the basis of available information up to
May 14, 2012 and should be read in
conjunction with the interim unaudited financial statements of the
Company for the period ended 31 March
2012 and the audited financial statements of the Company for
the year ended 30 June 2011 and the
related notes thereto, which have been prepared in accordance with
International Financial Reporting Standards and the Annual
Information Form dated 28 September
2011 for June 2011. All dollar
amounts referred to in this discussion and analysis are expressed
in United States dollars except where indicated otherwise.
Additional information relating to the Company,
including the Company's Annual Information Form ("AIF") can be
found on SEDAR at www.sedar.com.
Cautionary Note Regarding Forward Looking
Statements
Certain statements contained in this MD&A
constitute forward looking statements within the meaning of
applicable securities laws including, among others, statements made
or implied relating to the Company's objectives, strategies to
achieve those objectives, the Company's beliefs, plans, estimates
and intentions, and similar statements concerning anticipated
future events, results, circumstances, performance or expectations
that are not historical facts. Forward looking statements
generally can be identified by words such as "objective", "may",
"will", "expect", "likely", "intend", "estimate", "anticipate",
"believe", "should", "plans" or similar expressions suggesting
future outcomes or events. Such forward looking statements
are not guarantees of future performance and reflect the Company's
current beliefs based on information currently available to
management. Such statements involve estimates and assumptions
that are subject to a number of known and unknown risks,
uncertainties and other factors inherent in the business of the
Company and the risk factors discussed in the Annual Information
Form and other materials filed with the securities regulatory
authorities from time to time which may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by such forward looking statements.
Those risks and uncertainties include, but are not limited to: the
mining industry (including operational risks; risks in exploration,
and development; the uncertainties involved in the discovery and
delineation of mineral deposits, resources or reserves; and the
uncertainty of mineral resource and mineral reserve estimates); the
risk of gold, copper and other commodity price and foreign exchange
rate fluctuations; the ability of the Company to fund the capital
and operating expenses necessary to achieve the business objectives
of the Company; the uncertainty associated with commercial
negotiations and negotiating with foreign governments; the risks
associated with international business activities; risks related to
operating in Zambia and Nigeria; environmental risk; the dependence
on key personnel; and the ability to access capital markets.
Readers are cautioned not to place undue
reliance on these forward looking statements, which speak only as
of the date the statements were made and readers are advised to
consider such forward looking statements in light of the risks set
forth above. Except as required by applicable securities
laws, the Company assumes no obligation to update or revise any
forward looking statements to reflect new information or the
occurrence of future events or circumstances.
Background and Review of Operations
Ratel Group was incorporated on October 18, 2010 and is domiciled in the British
Virgin Islands. Both CGX Limited ("CGX") and Zambian Mining Limited
("Zambian Mining") were incorporated on August 22, 2006 and are also domiciled in the
British Virgin Islands. On June 1,
2010, Ratel Gold Limited ("Ratel Gold") (now St Augustine
Gold & Copper Limited, "SAU") agreed to acquire a 100% interest
in Zambian Mining and CGX from CGA Mining Limited ("CGA").
Ratel Group, CGX and Zambian Mining were wholly owned subsidiaries
of Ratel Gold (now SAU), a company incorporated and domiciled in
the British Virgin Islands. On December 17,
2010, the shares held by Ratel Gold (now SAU) were
transferred to the Company who acquired a 100% interest in Zambian
Mining and CGX.
Ratel Gold (now SAU) has been listed on the
Toronto Stock Exchange ("TSX") since August
6, 2010, and the Company was listed on the TSX on
January 4, 2011.
Ratel Gold (now SAU) had agreed to provide
funding as required to enable the Company and its controlled
entities to operate and meet their respective obligations until the
date of Ratel Group successfully completing its capital raising of
C$10M (gross), and listing on the
TSX. The Company successfully completed its listing on
January 4, 2011 and completed the
capital raising on January 7, 2011.
Concurrently with the closing of the acquisition, as more
particularly described in the Management Information Circular of
Ratel Gold (the "Circular"), Ratel Gold (now SAU) also completed
the Spin-out Reorganisation (as defined in the Circular) of its
African property interests into Ratel Group. Pursuant
to the terms of the Spin-out Reorganization, each shareholder of
Ratel Gold (now SAU) was issued five common shares in the capital
of Ratel Group for every nine common shares of Ratel Gold (now SAU)
held on the share distribution record date of January 6, 2011. CGA, through a wholly
owned subsidiary, held 17.5M shares in Ratel Gold (now SAU).
It then acquired 9,722,222 shares in Ratel Group pursuant to the
Spin-out Reorganisation, and acquired a further 19M shares pursuant
to the conversion of subscription receipts, taking CGA's beneficial
holding in Ratel Group to 28,722,222 shares, which represents 19.1%
of the issued and outstanding share capital.
As part of the Spin-out Reorganization, Ratel
Group also undertook a capital raising (the "Spin-out Financing")
by way of subscription receipts to fund its future activities and
to satisfy TSX original listing requirements. The subscription
receipts issued in connection with the Spin-out Financing
automatically converted to common shares of Ratel Group as part of
the Spin-out Reorganization, and 100M common shares of Ratel Group
have been issued in connection therewith at a price of C$0.10 per common share, for aggregate gross
proceeds of C$10M.
CGX and Zambian Mining were incorporated to act
as holding companies respectively for the interests in the Segilola
Gold Project in Nigeria and the Mkushi Copper Project in Zambia. A
joint venture was entered into with African Eagle Resources ("AFE")
for the Mkushi Copper Project in Zambia whereby Seringa Mining
Limited ("SML") acquired a 51% interest in the project, with AFE
retaining a 49% interest. SML was responsible for funding a
bankable feasibility study, while AFE manages exploration
initiatives outside the initial development zones, with funding
proportional to the percentage interest held by each party in the
project. The joint venture agreement was finalised and
executed on May 30, 2007. SML has
prepared a detailed feasibility study.
Segilola Gold Limited ("SGL") entered into a
joint venture with Tropical Mines Limited ("TML"), a private
company based in Nigeria, to earn a 51% interest in the Segilola
Gold Project in Nigeria, considered to be the most advanced gold
exploration project in the country. TML is a Nigerian company
owned in joint venture by local investors and the Nigerian
government. A Joint Venture Agreement has been signed ("the JV
Agreement") and drilling is ongoing at the project, with a maiden
resource announced by CGA during the December 2009 quarter of an indicated resource of
3,620,386 tonnes at a grade of 4.5g/t for 521,814 ounces of gold
and an inferred resource of 747,590 tonnes at a grade of 4g/t for
96,445 ounces of gold.
Under the terms off the JV Agreement, SGL was
required to pay TML a signature bonus of US$650,000 with US$250,000 becoming due upon TML obtaining the
necessary approvals to the farmin of SGL to the joint venture with
the balance of the signature bonus to be paid prior to the exercise
by SGL of the third option whereby it would acquire the final 13%
interest to give SGL a 51% interest in the Segilola Gold
Project. The balance of the signature bonus of US$400,000 was paid to TML on March 16, 2011 and in return TML agreed to extend
the time through to 31 March 2012
during which SGL is required to exercise the third option in order
for SGL to complete further drilling at the Segilola Gold Project.
The drilling campaign at the Segilola Gold Project was finalised on
16 December 2011, and comprised of a
further 36 holes totalling 3,704m. This phase of drilling was to
test the southern extension of gold mineralisation for a further
400m from the open southern end of the previous drilling programme.
A survey has also been completed of the drill boreholes. A notice
was submitted to TML on 30 March 2012
advising that SGL wished to acquire the final additional 13%
interest in the Segilola Gold Project. On April 30, 2012 TML advised SGL that they were
disputing SGL's notice on the grounds that they required a
Production Sharing Contract. SGL disagrees that the execution of a
Production Sharing Contract is a requirement for the exercise of
the Third Option and is currently in the process of responding to
TML on this matter.
The Heap Leach development at the Mkushi Copper
Project continued in the March 2012
quarter with approximately 18,000 tonnes of ore having been having
been crushed. The bacterial generation tanks are on site and the 5
cubic metre tank is functioning. Growth of bacteria in the tank
continues and results are being analysed. Other key items that have
arrived and been installed on site during the quarter, included the
sulphuric acid tanks and the bacterial general facilities and their
associated equipment. The Company and its joint venture partners
are in discussion with the Zambian Government with regard to
licence related matters and the current development activities.
On 3 November
2011, the Company announced that the contract to acquire
CAML Ghana Limited ("CAML Ghana") (the holder of the interest in
the Obuasi Prospecting Farmin and Joint Venture Agreement in Ghana)
had been terminated. Westchester Resources Limited ("Westchester")
(a party to the Obuasi Joint Venture) issued proceedings in Ghana
against a number of parties, including Ratel in February 2012, which are considered both
unsubstantiated and without foundation. Westchester has
subsequently stayed those proceedings following an order from the
London Court of Arbitration ("LCIA") on April 3, 2012 in the context of arbitration
proceedings launched against Westchester by CAML Ghana (an
unrelated entity to Ratel Group).
The business of the Company should be considered
speculative given the volatility in world stock markets
(particularly with respect to mining and exploration companies) and
the uncertain nature of mining and exploration activities
generally. Amongst other things, some of the key risk factors
faced by CGX, Zambian Mining and Ratel Group include:
- foreign exchange movements;
- movements in commodity prices (in particular the gold and
copper price and costs of production);
- access to new capital (both debt and equity) and meeting
liquidity requirements;
- the uncertain nature of exploration and development
activities;
- increases in capital expenditures necessary to advance the
Company's projects;
- the ability to profitably exploit new development
projects;
- political, security and sovereign risks of Zambia and
Nigeria;
- joint venture partner relationships and disputes;
- permitting and local government and community support; and
- environmental obligations.
For further information on these and other risks
inherent in the Company's business, we direct readers to the Annual
Information Form for June 2011 lodged
on SEDAR at www.sedar.com.
Consolidated Results
(US$000's, except per share information)
Profit and Loss
| |
Three month
period ended |
Year to Date |
| |
March 31
2012 |
December 31
2011 |
Variance |
March 31
2012 |
| Income |
1 |
2 |
1 |
4 |
| Group net profit/(loss) from
continuing operations |
(1,049) |
(1,505) |
456 |
(3,821) |
| Exploration and drilling
costs |
10 |
456 |
(446) |
906 |
| Depreciation |
7 |
8 |
(1) |
24 |
| Basic loss per share |
(0.70) |
(1.00) |
0.30 |
(2.55) |
Consolidated Cash Flows from Operating
Activities
(US$000's, except per share information)
| |
Three month period ended |
Year to Date |
| |
March 31
2012 |
December 31
2011 |
March 31
2012 |
| Reconciliation of net loss after tax to net
cash flows from operations |
|
|
|
| Net profit/(loss) after related income tax |
(1,049) |
(1,505) |
(3,821) |
| Adjustments for non-cash income and expense
items |
|
|
|
| Depreciation |
7 |
8 |
24 |
| Unrealised foreign exchange gain/(loss) |
7 |
19 |
65 |
| |
|
|
|
| Changes in Assets & Liabilities |
|
|
|
| Change in working capital |
(9) |
101 |
(218) |
| |
|
|
|
| Net cash inflow/(outflow) from operating
activities |
(1,041) |
(1,377) |
(3,947) |
Consolidated Balance Sheet
(US$000's, except per share information)
| |
For the period
ended |
| |
March
31
2012 |
December 31
2011 |
Variance |
| Cash and cash equivalent |
1,158 |
2,671 |
(1,513) |
| Current Assets |
1,331 |
2,863 |
(1,532) |
| Property, Plant &
Equipment |
2,048 |
1,589 |
459 |
| Total Assets |
3,379 |
4,453 |
(1,074) |
| |
|
|
|
| Total Liabilities |
144 |
168 |
(24) |
| Shareholders' Equity |
3,235 |
4,284 |
(1,049) |
Selected Quarterly Data
(US$000's, except per share
information)
| |
Q3
Mar
2012 |
Q2
Dec
2011 |
Q1
Sep
2011 |
2011
Annual
Total |
Q4
Jun
2011 |
Q3
Mar
2011 |
Q2
Dec
2010 |
Q1
Sep
2010 |
2010
Annual
Total |
Q4
Jun
2010 |
Total
income |
1 |
2 |
1 |
7 |
(1) |
6 |
- |
N/A |
N/A |
N/A |
Net
profit/(loss) |
(1,049) |
(1,505) |
(1,267) |
(4,360) |
(1,638) |
(2,556) |
(166) |
N/A |
N/A |
N/A |
Per share
(undiluted US$
cents per share) |
(0.7) |
(1.00) |
(1.13) |
(5.86) |
(1.49) |
(7.27) |
(0.08) |
N/A |
N/A |
N/A |
Per share
(diluted
US$ cents
per share) |
(0.70) |
(1.00) |
(1.13) |
(5.86) |
(1.49) |
(7.27) |
(0.08) |
N/A |
N/A |
N/A |
Ratel Group was incorporated on October 18, 2010. On December 17, 2010, Ratel Group acquired 100% of
CGX and Zambian Mining, and thereby acquired their interests in the
Segilola Gold Project and Mkushi Copper Project, respectively hence
there are no comparatives prior to the December 2010 quarter.
Quarterly and Year to Date Results
Three Months Ended March 31, 2012 as Compared to the Three Months
Ended December 31, 2012 and the Three
Months Ended March 31, 2011
The Company's result for the three months to
March 31, 2012 was a net loss of
$1.049M, as compared to a net loss of
$1.505M for the previous quarter, and
$2.556M for the prior year
comparative period, a decrease of $0.456M or 30% from the previous quarter and
$1.507M or 60% from the prior year.
The decrease from the prior quarter is largely attributable to the
decrease in exploration and drilling expenses, as discussed further
below. The Company's activities are mineral exploration and
development. It currently has no assets in production, hence earns
only nominal interest income.
Revenues and Foreign Exchange
Gains/Losses
As discussed above, the Company does not have
any producing assets hence earns only minimal interest income on
its cash balances. The Company earned interest income of
$1k for the March quarter as compared
to $2k for the December 2011 quarter and $6k for the March
2011 quarter. A foreign exchange loss of $7k was recorded in the March quarter, as
compared to foreign exchange loss of $19k in the December
2011 quarter and a gain of $118k for the March
2011 quarter. This March 2012
quarter loss is reduced due to the strengthening of the US dollar
during the quarter and the impact on expenses recorded in local
currencies Australian Dollar, Zambian Kwacha and Nigerian Naira, as
compared to the December 2011 quarter
which related largely to the weakening of the US dollar. The
March 2011 gain relates mainly to a
foreign exchange gain on the funds from the C$10M capital raising in January 2011, which were converted to USD in
March 2011.
Expenses
Expenses for the March
2012 quarter were $1.052M as
compared to $1.506M for the
December 2011 quarter, a decrease of
$0.454M or 30% and $2.562M for the March
2011 quarter, a decrease of $1.510M or 59%. The decrease from the prior
quarter is predominantly due to the completion of the drilling
programme at the Segilola Gold Project in December 2011. Administration expenditure also
decreased by $0.202M from the
previous quarter, largely due to legal expenses incurred in the
prior quarter related to the termination of the CAML Ghana
acquisition agreement. The significant decrease from the prior year
quarter relates predominantly to a notional share option expense of
$0.948M required to be recorded under
accounting standards.
Specific items discussed below:
Exploration and evaluation costs written
off
The Company incurred exploration costs of
$0.623M during the current quarter as
compared to $1.004M in the prior
quarter, a decrease of $0.381M or 38%
and $1.337M in the March 2011 quarter, a decrease of $0.714M or 105%. The drilling campaign at the
Segilola Gold Project was finalised on 16
December 2011 therefore minimal exploration and drilling
expenditure of $0.010M was incurred
in the March 2012 quarter as compared
to $0.714M in the December 2011 quarter. Expenditure in the
March 2011 quarter included a
$0.400M signature bonus paid in
relation to the Segilola Gold Project in return for an extension of
time to exercise the third option under the joint venture agreement
as well as $0.259M of exploration
expenditure incurred in relation to the prospective Obuasi project
held by CAML Ghana. The contract to acquire CAML Ghana was
terminated in November 2011 due to
Ghanaian Ministerial Approval not being obtained. The Company
expenses all of its exploration costs to the profit and loss.
Development expenditure on the heap leach development at the Mkushi
Copper Project commenced in the June
2011 quarter and has been capitalised to the balance sheet,
in accordance with the Company's accounting policies.
Administrative expenses
The Company incurred administrative costs of
$0.245M during the March 2012 quarter, as compared with $0.447M in the prior quarter, a decrease of
$0.202M or 45% and $1.343M in the March
2011 quarter, a decrease of $1.098M or 511%. The variance for the
March 2012 quarter and December 2011 quarter relates largely to the
reduced legal fees of $0.033M in the
March 2012 quarter as compared to
$0.237M in the December 2011 quarter. The variance in the
March 2012 quarter as compared to the
March 2011 quarter largely relates to
the share option expenses of $0.948M
and share registry costs for listing on the TSX of $0.149M incurred in the March 2011 quarter. The share option expense
represents the amortisation of notional value placed on these
options and does not represent a cash payment by the Company.
Business development expenditure
Business development expenditure of $0.176M was incurred in the March 2012 quarter as compared to $0.037M in the prior period and nil in the
March 2011 quarter. The expenditure
relates to legal and consultants fees regarding the incorporation
of a special purpose entity for an incorporated joint venture
structure to hold the Segilola Gold Project structure should the
joint venture partners commit to a development of the project.
Capitalised development expenditure
Development expenditure on the heap leach
development at the Mkushi Copper Project commenced in the
June 2011 quarter and has been
capitalised to the balance sheet, in accordance with the Company's
accounting policies, with $0.465M
capitalised in the March 2012 quarter
as compared to $0.527M in the
December 2011 quarter.
Activities during the December 2011
included electrification of the main building and crusher plant and
electrification reticulation of the leach pad commenced. Crushing
of the ore commenced after testing of the crushing plant was
completed. The HDPE liner was received on site and laying and
welding of the liner commenced. Fencing of the pads and leach ponds
were also carried out in this period. During the March 2012 quarter concentrate for the bacterial
leach operation was received. Earthworks continued with stock
piling and also loading ore onto the heap leach pad. Stockpiled ore
was loaded onto the heap leach pad and aeration pipes were laid.
Crushing of the ore continued during the period and samples of the
mineral ore were sent to the contractor for analysis. Construction
continued on the heap leach pad, ponds, cementation tanks and
bacterial generation facility. Installation of the two sulphuric
acid storage tanks including construction of a suitable concrete
base was completed. The bacterial generation facility was completed
and the bacteria growth commenced.
Year to Date Results
Year to date from 1
July 2011 to 31 March
2012
The Company's result for the period ended
March 31, 2012 was a net loss of
$3.821M as compared to a net loss of
$2.722M in the prior year, an
increase of $1.099M or 29%. The
increased expenditure in the current year period largely relates to
the drilling campaign at the Segilola Gold Project, which commenced
in the June 2011 quarter and was
finalised in December 2011, with a
survey of the drill boreholes together with a revised mining
optimisation model completed in March
2012. The Company was incorporated on 18 October 2010, hence the prior year
comparatives do not reflect an equal nine month period of
activities.
The Company's activities are mineral exploration
and development. It currently has no assets in production, hence
earns only minimal income largely related to interest income on its
bank accounts.
Revenues and Foreign Exchange
Gains/Losses
As discussed above, the Company does not have
any producing assets hence earns only minimal interest
revenue. The Company earned interest revenue of $4k for the current year to date as compared to
$6k in the prior year. A foreign
exchange loss of $0.065M was recorded
in the 9 months to 31 March 2012,
related largely to the weakening of the US dollar during the period
and the impact on expenses recorded in local currencies Australian
Dollar, Zambian Kwacha and Nigerian Naira. A foreign exchange gain
of $0.114M was recorded from the date
of incorporation of 18 October 2010
to 31 March 2011. The 2011 gain
relates mainly to foreign exchange gain on the funds from the
C$10M capital raising in January 2011, which were converted to USD in
February 2011.
Expenses
Expenses for the current year to date amounted
to $3.825M as compared to
$2.728M in the prior year, an
increase of $1.097M or 40%. The
increase largely relates to exploration and evaluation expenses of
$2.593M incurred in the March 2012 compared to $1.495M in the March
2011 period, an increase of $1.098M or 73%. Exploration costs written
off are further discussed below. The Company expenses all of it
exploration costs to the profit and loss. Expenditure on the heap
leach development at the Mkushi Copper Project has been capitalised
to the balance sheet, in accordance with the Company's accounting
policies. Heap Leach expenditure capitalized for the year to date
$1.578M as compared to $0.411M for the prior year. The Heap Leach
development began construction in the June
2011 quarter with the major works being undertaken in the
2012 year.
Specific items discussed below:
Exploration costs written off
The Company incurred exploration and evaluation
costs of $2.593M during the current
year to date as compared to $1.495M
in the prior year, an increase of $1.098M or 73%. The current year expenditure
relates predominantly to the drilling campaign at the Segilola Gold
Project, which was completed in December
2011, with a survey of the drill boreholes together with a
revised mining optimisation model completed in March 2012. Employee costs for the current year
period were $0.829M as compared to
$0.307M in the prior year, an
increase of $0.526M or 171%. The
increase is due to the increase in activities of the Company,
including the appointment of a fulltime CEO as well as additional
site employee costs related to the drilling campaign. In addition,
travel expenses of $0.310M were
incurred in the current year period as compared to $0.080M in the prior year period, an increase of
$0.230M or 288%, for travel
expenditure in relation to meetings with its joint venture partner
at the Segilola Gold Project and the restructuring of the Segilola
Gold Project. Expenditure in the prior year period included a
$0.400M signature bonus paid in
relation to the Segilola Gold Project in return for an extension of
time to exercise the third option under the joint venture agreement
as well as $0.259M of exploration
expenditure incurred in relation to the Obuasi project held by CAML
Ghana. The contract to acquire CAML Ghana was terminated in
November 2011 due to Ghanaian
Ministerial Approval not being obtained.
Administrative expenses
The Company incurred administrative costs of
$0.942M during the period as compared
to $1.347M in the prior year, a
decrease of $0.405M or 30%. The
decease largely relates to the notional share option expense of
$0.948M recorded in the prior year
period (current year period: nil )along with share registry
expenses of $0.149M incurred in the
prior year related to the public listing of the Company in
January 2011 as compared to
$0.049M for the current year. Legal
expenses of $0.349M were incurred in
the current year, largely related to the termination of the CAML
Ghana acquisition agreement as compared to $0.072M in the prior year. The current year's
expense also includes three quarterly payments of the Company's
serviced office and management fees totalling $0.307M in the current year as compared to one
quarters payment totalling $0.096M in
the prior year comparative period.
Capitalised Development expenditure
Heap Leach expenditure capitalized for the year
to date $1.578M as compared to
$0.411M for the prior year. The Heap
Leach development began construction in the June 2011 quarter with the major works being
undertaken in the 2012 year. In the 2012 year suppliers were
sourced and contracts entered into. The electrification of the main
building and crusher plant and electrification reticulation of the
leach pad commenced. Crushing of the ore commenced after testing of
the crushing plant was completed. The HDPE liner was received on
site and laying and welding of the liner commenced. Fencing of the
pads and leach ponds were also carried out in this period.
Concentrate for the bacterial leach operation was received.
Earthworks continued with stock piling and also loading ore onto
the heap leach pad. Stockpiled ore was loaded onto the heap leach
pad and aeration pipes were laid. Crushing of the ore continued
during the period and samples of the mineral ore were sent to the
contractor for analysis. Construction continued on the heap leach
pad, ponds, cementation tanks and bacterial generation facility.
Installation of the two sulphuric acid storage tanks including
construction of a suitable concrete base was completed. The
bacterial generation facility was completed and the bacteria growth
commenced and results are being analysed.
Liquidity and Capital Resources
As at March 31
2012, the Company had cash and cash equivalents of $1.157M. Ratel Group was incorporated on
October 18 2010, and formed a
consolidated group with Zambian Mining and CGX on December 17 2010, therefore there is no available
comparative information prior to the December 2010 quarter. On December 17, 2010 the Company issued 49,999,998
shares at an issue price of C$0.10
per share to acquire the interest in the African assets held by
Ratel Gold (now SAU).
The Company successfully closed its initial
public offering on January 7, 2011,
issuing 100M common shares at a price of C$0.10 per common share, receiving proceeds of
$9.5 million net of the 5% brokers'
fees, not including other raising costs. The funds
provided Ratel Group and its subsidiaries with sufficient cash to
meet their current planned activities and working capital
requirements. Ratel Gold (now SAU) distributed its total
holding of 50 million shares in Ratel Group to its shareholders,
pursuant to the terms of the Spin-out Reorganization. Each
shareholder of Ratel Gold (now SAU) was issued five common shares
in the capital of Ratel Group for every nine common shares of Ratel
Gold (now SAU) held on the share distribution record date of
January 6, 2011. Accordingly,
post January 7, 2011 Ratel Group is
no longer controlled by Ratel Gold (now SAU).
The Company manages liquidity risk through
maintaining sufficient cash or credit terms with its suppliers to
meet the operating requirements of the business and investing
excess funds in highly liquid short term cash deposits. The
Company's liquidity needs can likely be met through existing cash
on hand, subject to current budgeted working capital and
expenditure parameters being met.
The Company currently has in place an active
program of financial forecasting and budgeting both at a corporate
and project level to manage both the application of funds and
planning for future financial needs to ensure that any shortfall in
revenue funds is adequately covered by cash reserves or planned new
sources being either debt or equity based on the then most cost
effective weighted average cost of capital. Expenditure to date for
the Company has been largely in line with the overall initial
budget forecasts. Expenditure relating to the heap leach
development at the Mkushi Copper Project is behind the original
budget due to delays in the start of the programme.
Credit risk represents the loss that would be
recognised if counterparties failed to perform as contracted. The
Group's maximum exposures to credit risk at the reporting date in
relation to each class of financial asset is the carrying amounts
of those assets as indicated in the Balance Sheet.
Contractual obligations
| |
Payments due by period |
| Contractual obligations |
Total |
Less than 1 year |
1-3 years |
4-5 years |
More than 5 years |
| Joint venture obligations1 |
182,000 |
182,000 |
- |
- |
- |
| Management services contract2 |
403,000 |
403,000 |
- |
- |
- |
| Total contractual obligations |
585,000 |
585,000 |
- |
- |
- |
1 The joint venture obligations
represents commitments to the development at the Company's Mkushi
Copper Project in Zambia.
2 The management services contractual obligation is for
the provision of, serviced office, company secretarial,
administrative, accounting and management services by CGA Mining
Limited that came into effect on the Company listing on the TSX,
which was January 4, 2011.
Transactions between the group and its
related entities
During the quarter ended March 31,
2012, the Company entered into transactions with related
parties in the wholly-owned group:
Loans were advanced on short term inter-company
accounts between;
- CGX and its wholly owned subsidiary SGL for the purpose of
funding feasibility study on the Segilola Gold Project and the
funding of the day to day operating costs of SGL. The total amount
loaned for the period was $0.529M;
and
- between Zambian Mining and its wholly owned subsidiary SML for
the purpose of funding the day to day operating costs of SML. The
total amount loaned for the period was $0.593M;
These transactions were undertaken on commercial terms and
conditions except that:
- loans are repayable at call; and
- no interest is payable on the loans at present.
Transactions between the group and other
related parties
During the financial year, the Company entered
into the following transaction with a related party:
Office accommodation and administrative support
were provided to the consolidated entity at commercial rates from
CGA, who is holder of 19.1% of the outstanding share capital of the
Company. In the current quarter CGA charged $0.107M (excluding GST) in relation to the
provision of these services.
Outstanding Share Data
As at May 14,
2012, the Company had 150,000,000 common shares outstanding
and 12,000,000 options, exercisable at C$0.25 per share.
Subsequent Events
There have been no significant events subsequent
to balance date.
Critical Accounting Estimates
The significant accounting policies used by
Ratel Group are disclosed in Note 2 to the annual financial
statements for the year ended June 30,
2011. Certain accounting policies require that management
make appropriate decisions with respect to the formulation of
estimates and assumptions that affect the reported amounts of
assets, liabilities, revenues and expenses. Management
reviews its estimates on a regular basis. The emergence of new
information and changed circumstances may result in actual results
or changes to estimated amounts that differ materially from current
estimates.
Accounting Policies
The Group's current financial report complies
with International Financial Reporting Standards ("IFRS"). The
accounting policies of the Group are set out in Note 2 to the
June 30, 2011 Annual Financial
Statements, available on www.sedar.com.
Income Taxes
The determination of income and other tax
liabilities requires interpretation of complex laws and
regulations. All tax filings are subject to audit and
potential reassessment after the lapse of considerable time.
Accordingly, the actual income tax liability may differ from that
estimated and recorded by management.
Internal Controls and Disclosure
Controls
The Company's Chief Executive Officer ("CEO")
and Chief Financial Officer ("CFO") are responsible for the design
and effectiveness of internal controls over financial reporting (as
such term is defined in National Instrument 52-109 - Certification
of Disclosure in Issuers' Annual and Interim Filings ("NI
52-109")), to provide reasonable assurance regarding the
reliability of financial reporting and the preparation of the
financial statements in accordance with International Financial
Reporting Standards. The Company maintains an effective control
environment and has used the Internal Control -- Integrated
Framework (COSO Framework) published by The Committee of Sponsoring
Organizations of the Treadway Commission to design the Company's
internal controls over financial reporting. The Company's CEO and
CFO believe that the Company's internal controls and procedures are
effective in providing reasonable assurance that financial
information is recorded, processed, summarized and reported in a
timely manner.
During the quarter ended March, 2012, there have
been no changes in the Company's policies and procedures and other
processes that comprise its internal control over financial
reporting, that have materially affected, or are reasonably likely
to materially affect, the Company's internal controls over
financial reporting.
The Company's CEO and CFO are also responsible
for the design and effectiveness of disclosure controls and
procedures (as such term is defined in NI 52-109) to provide
reasonable assurance that material information related to the
Company, including its consolidated subsidiaries, is made known to
the Company's certifying officers. The Company's CEO and CFO
believe that the Company's disclosure controls and procedures are
effective in providing reasonable assurance that information
required to be disclosed under applicable securities legislation is
recorded, processed, summarized and reported in a timely
manner.
The Company's CEO and CFO have each evaluated
the effectiveness of the Company's internal controls over financial
reporting and disclosure controls and procedures as of March 31, 2012 and have concluded that these
controls and procedures are effective in reasonably assuring the
reliability of financial reporting and that material information
relating to the Company is made known to them by others within the
Company and that such controls and procedures have no material
weaknesses and no limits on the scope of their design.
Future Outlook
During the next quarter, the Company's activities will primarily
focus on:
- the completion of the Heap Leach Development at the Company's
Mkushi Copper Project; and
- restructuring of the Segilola project interest into an
incorporated joint venture structure to facilitate a financing of
the development should the joint venture partners commit to a
development.
Interim Financial Statements
For the three months and nine months
ended
31 March 2012
RATEL GROUP LIMITED
Level 5, The BGC Centre, 28 The Esplanade, Perth WA 6000
Phone: +61 8 9263 4000 Fax: +61 8 9263 4020.
Website: www.ratelgroup.com
NOTICE OF NO AUDITOR REVIEW OF
INTERIM FINANCIAL STATEMENTS
The accompanying interim consolidated financial
statements for Ratel Group Limited ("Ratel Group" or the "Company")
have been prepared by management in accordance with the
International Accounting Standards, which include International
Financial Reporting Standards ("IFRS"). These financial statements
are the responsibility of management and have not been reviewed by
the auditors. The most significant accounting principles have
been set out in the audited financial statements and Annual
Information Form dated 28 September
2011 for the period ended 30 June
2011 and the related notes thereto. These financial
statements have been prepared on a historical cost basis of
accounting. A precise determination of many assets and
liabilities is dependent on future events. Therefore,
estimates and approximations have been made using careful judgment.
Recognizing that the Company is responsible for both the integrity
and objectivity of the financial statements, management is
satisfied that these financial statements have been fairly
presented.
For further information please contact:
Hannah Hudson
Chief Financial Officer and Company Secretary
Telephone: +61 8 9263 4000
Fax: +61 8 9263 4020
CORPORATE DIRECTORY
DIRECTORS:
Mark S Savage
Michael J Carrick
Ronald F J Clarke
Ian C Fisher
SECRETARY:
Hannah C Hudson
PRINCIPAL OFFICE:
Level 5
BGC Centre
28 The Esplanade
Perth WA 6000
TELEPHONE: +61 8 9263 4000
FACSIMILE: +61 8 9263 4020
BANKERS:
Australia and New Zealand Banking Group Limited
77 St Georges Terrace
Perth WA 6000
STOCK EXCHANGE:
Toronto Stock Exchange Inc
Exchange Code:
RTG - Fully paid ordinary shares
|
SHARE REGISTER:
Canadian Register
Computershare Investor Services Inc
100 University Ave, 11th Floor
Toronto Ontario M5J2Y1
Canada
Telephone: +1 416 263 9449
Facsimile: +1 416 981 9800
LAWYERS
Middletons
Level 32
44 St Georges Terrace
Perth WA 6000
Blake, Cassels & Graydon
Suite 2600
3 Bentall Centre
59 Burrard Street
Vancouver, B.C. Canada
V7X 1L3
NORTH AMERICAN CONTACT:
Mark S Savage
1703 Edwardo y Juanita Ct
Albuquerque, New Mexico, 87107, USA
Telephone: +1 505 344 2822
Facsimile: +1 505 344 2922
Email: marksavage@comcast.net |
RATEL GROUP LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE
INCOME
Unaudited - Prepared By Management
For the three and nine months ended 31
March
| |
|
Consolidated
Three
months ended
Mar 31, |
Consolidated
Three months
ended
Mar 31, |
Consolidated
Nine months
ended
March 31, |
Consolidated
Period from
Oct 18, 2010 to March 31, |
| |
Note |
2012 |
2011 |
2012 |
2011 |
| |
|
US$ |
US$ |
US$ |
US$ |
| Continuing Operations |
|
|
|
|
|
| Revenue |
3 |
1,354 |
5,628 |
3,911 |
5,634 |
| Exploration and evaluation
expenditure |
4 |
(623,306) |
(1,336,907) |
(2,592,661) |
(1,494,755) |
| Business development |
|
(176,194) |
- |
(226,119) |
- |
| Foreign exchange
gains/(losses) |
|
(6,558) |
117,786 |
(64,590) |
113,845 |
| Administrative expenses |
5 |
(244,544) |
(1,342,781) |
(941,840) |
(1,347,150) |
| |
|
|
|
|
|
| Loss from continuing
operations |
|
(1,049,248) |
(2,556,274) |
(3,821,299) |
(2,722,426) |
| Income tax benefit |
|
- |
- |
- |
- |
| Loss for the period |
|
(1,049,248) |
(2,556,274) |
(3,821,299) |
(2,722,426) |
| Other comprehensive income for
the period |
|
- |
- |
- |
- |
| Total comprehensive
income/(loss) for the period |
|
(1,049,248) |
(2,556,274) |
(3,821,299) |
(2,722,426) |
| |
|
|
|
|
|
| Earnings per share for loss
attributable to the ordinary equity holders of the company |
|
|
|
|
|
| Basic loss per share (cents) |
|
(0.70) |
(7.27) |
(2.55) |
(7.36) |
| Diluted loss per share
(cents) |
|
(0.70) |
(7.27) |
(2.55) |
(7.36) |
The above consolidated statement of
comprehensive income should be read in conjunction with the
accompanying notes. The Company was incorporated on
October 18, 2010, hence the prior
year comparative figures represent the period from
incorporation.
RATEL GROUP LIMITED
INTERIM CONSOLIDATED BALANCE SHEET
Unaudited - Prepared By Management
| |
|
|
Consolidated |
Consolidated |
| |
|
Note |
31 March 2012 |
30 June 2011 |
| |
|
|
US$ |
US$ |
| ASSETS |
|
|
|
|
| Current Assets |
|
|
|
|
| Cash and cash equivalents |
|
7 |
1,157,513 |
6,628,366 |
| Trade and other receivables |
|
|
141,861 |
128,251 |
| Prepayments |
|
|
31,164 |
27,895 |
| Total Current Assets |
|
|
1,330,538 |
6,784,512 |
| |
|
|
|
|
| Non-Current Assets |
|
|
|
|
| Property, plant and equipment |
|
|
180,776 |
199,797 |
| Construction in progress |
|
8 |
1,867,637 |
411,406 |
| Total Non-Current
Assets |
|
|
2,048,413 |
611,203 |
| |
|
|
|
|
| TOTAL ASSETS |
|
|
3,378,951 |
7,395,715 |
| |
|
|
|
|
| LIABILITIES |
|
|
|
|
| Current Liabilities |
|
|
|
|
| Trade and other payables |
|
9 |
143,792 |
339,259 |
| Total Current
Liabilities |
|
|
143,792 |
339,259 |
| |
|
|
|
|
| TOTAL LIABILITIES |
|
|
143,792 |
339,259 |
| |
|
|
|
|
| NET ASSETS |
|
|
3,235,159 |
7,056,456 |
| |
|
|
|
|
| SHAREHOLDER'S DEFICIT |
|
|
|
|
| Issued capital |
|
6 |
14,493,355 |
14,493,353 |
| Reserve |
|
10 |
(3,076,157) |
(3,076,157) |
| Accumulated losses |
|
|
(8,182,039) |
(4,360,740) |
| TOTAL SHAREHOLDER'S
EQUITY |
|
|
3,235,159 |
7,056,456 |
The above consolidated statement of financial
position should be read in conjunction with the accompanying
notes
RATEL GROUP LIMITED
INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
Unaudited - Prepared By Management
For the three and nine months ended
31 March 2012
| |
|
|
Consolidated
Three months
ended
March 31, |
Consolidated
Three months
ended
March 31, |
Consolidated
Nine months
ended
March 31, |
Consolidated
Period from
Oct 18, 2010 to
March 31, |
| |
|
Note |
2012 |
2011 |
2012 |
2011 |
| |
|
|
US$ |
US$ |
US$ |
US$ |
| Cash flows from operating
activities |
|
|
|
|
|
|
| Payments to suppliers and
employees |
|
|
(401,926) |
(287,349) |
(1,214,651) |
(287,568) |
| Exploration costs |
|
|
(640,261) |
(1,464,200) |
(2,734,973) |
(1,623,323) |
| Interest received |
|
|
801 |
5,628 |
2,505 |
5,634 |
| Net cash outflow from operating
activities |
|
|
(1,041,386) |
(1,745,921) |
(3,947,119) |
(1,905,257) |
| |
|
|
|
|
|
|
| Cash flows from investing
activities |
|
|
|
|
|
|
| Payments for property, plant &
equipment |
|
|
(465,448) |
- |
(1,459,817) |
133,345 |
| Net cash inflow/(outflow) from
investing activities |
|
|
(465,448) |
- |
(1,459,817) |
133,345 |
| |
|
|
|
|
|
|
| Cash flows from financing
activities |
|
|
|
|
|
|
| Loan funds received |
|
|
- |
- |
- |
95,066 |
| Proceeds from the issue of
shares |
|
|
- |
10,060,360 |
- |
10,060,362 |
| Capital raising costs |
|
|
- |
(541,643) |
- |
(541,643) |
| Net cash inflow from financing
activities |
|
|
- |
9,518,717 |
- |
9,613,785 |
| |
|
|
|
|
|
|
| Net increase / (decrease) in cash
and cash equivalents |
|
|
(1,506,834) |
7,772,796 |
(5,406,936) |
7,841,873 |
| |
|
|
|
|
|
|
| Effects of exchange rate
fluctuations on the balances of cash held in foreign
currencies |
|
|
(6,558) |
- |
(63,382) |
- |
| |
|
|
|
|
|
|
| Cash and cash equivalents at
beginning of the period |
|
|
2,670,905 |
65,138 |
6,627,831 |
113,845 |
| Cash and cash equivalents at
end of the financial period |
|
7 |
1,157,513 |
7,955,718 |
1,157,513 |
7,955,718 |
The above consolidated statement of cash flow
should be read in conjunction with the accompanying notes. The
Company was incorporated on October 18,
2010, hence the prior year comparative figures represent the
period from incorporation.
RATEL GROUP LIMITED
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN
EQUITY
Unaudited - Prepared By Management
For the nine months ended 31 March 2012
| |
|
|
|
|
|
|
| |
|
Issued
capital
US$ |
Acquisition
reserve
US$ |
Share based
payment reserve
US$ |
Accumulated
losses
US$ |
Total
US$ |
| At 1 July 2011 |
|
14,493,355 |
(4,300,157) |
1,224,000 |
(4,360,741) |
7,056,457 |
| Loss for the period |
|
- |
- |
- |
(3,821,299) |
(3,821,299) |
| Total comprehensive income /(loss) for the
period |
|
- |
- |
- |
(3,821,299) |
(3,821,299) |
| At 31 March 2012 |
|
14,493,355 |
(4,300,157) |
1,224,000 |
(8,182,039) |
3,235,159 |
For the period from 18
October 2010 to 31 March
2011
| |
|
|
|
|
|
|
| |
|
Issued capital
US$ |
Acquisition
reserve
US$ |
Share based
payment reserve
US$ |
Accumulated
losses
US$ |
Total
US$ |
| At 18 October 2010 |
|
- |
- |
- |
- |
- |
| Loss for the period |
|
- |
- |
- |
(2,722,426) |
(2,722,426) |
| Total comprehensive income
/(loss) for the period |
|
- |
- |
- |
(2,722,426) |
(2,722,426) |
| Issue of share capital |
|
14,493,353 |
- |
- |
- |
14,493,353 |
| Acquisition
reserve |
|
- |
(4,300,157) |
|
- |
(4,300,157) |
| Share based payment |
|
- |
- |
948,000 |
- |
948,000 |
| At 31 March 2011 |
|
14,493,353 |
(4,300,157) |
948,000 |
(2,722,426) |
(8,418,770) |
The above consolidated statement of changes in
equity should be read in conjunction with the accompanying notes.
The Company was incorporated on October 18,
2010 hence the prior year comparative figures are from date
of incorporation to March 31,
2011.
NOTES TO INTERIM CONSOLIDATED FINANCIAL
STATEMENTS
For the period ended 31 March
2012
Unaudited - Prepared By Management
1. CORPORATE INFORMATION
The financial report of Ratel Group Limited
("the Company", "Ratel", "the Group" or "the Entity") as at
31 March 2012 and for the periods
1 July 2011 to 31 March 2012 and 1
January 2011 to 31 March
2012.
The Company was incorporated on 18 October 2010 in the British Virgin Islands.
Its registered address is Jayla Place, Wickhams Cay I, Road Town,
Tortola, VG1110 British Virgin Islands. The Entity's ultimate
parent company is Ratel Group Limited.
The principal activity of the Group during the
period consisted of mineral exploration and development.
2. SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES
(a) Basis of Accounting
The interim financial report is a general
purpose condensed financial report which has been prepared in
accordance with the requirements of the International Financial
Reporting Standards ('IFRS") as issued by the International
Accounting Standards Board.
The consolidated financial statements have also
been prepared on a historical cost basis and are presented in
United States Dollars (US$).
The Company was incorporated on 18 October 2010 and accordingly comparatives for
the Statement of Comprehensive Income and Statement of Cash Flows
and Statement of Changes in Equity are for the period from
incorporation to 31 March 2011.
For the purposes of preparing the interim
financial report, the interim period has been treated as a discrete
reporting period.
(b) Significant accounting
policies
The interim consolidated financial statements
have been prepared using the same accounting policies as used in
the financial statements for the period ended 30 June 2011 contained in the audited financial
statements for Ratel Group Limited dated 28
September 2011.
| |
Consolidated |
Consolidated |
Consolidated |
Consolidated |
| |
|
|
|
|
| |
3 months
ended
March 31,
2012 |
3 months
ended
March 31,
2011 |
9 months
ended
March 31,
2012 |
Period from
October 18 2010
to March 31,
2011 |
| 3. REVENUES |
US$ |
US$ |
US$ |
US$ |
| |
|
|
|
|
| |
|
|
|
|
| Interest income |
811 |
5,628 |
2,598 |
5,634 |
| Other income |
543 |
- |
1,313 |
- |
| |
1,354 |
5,628 |
3,911 |
5,634 |
4. EXPLORATION AND EVALUATION EXPENSES
|
Consolidated
3 months
ended
March 31,
2012 |
Consolidated
3 months
ended
March 31,
2011 |
Consolidated
9 months
ended
March 31,
2012 |
Consolidated
Period from
October 18, 2010
to March 31, 2011 |
| |
US$ |
US$ |
US$ |
US$ |
| Employee benefits |
284,579 |
264,899 |
831,332 |
302,672 |
| Consultants fees |
57,992 |
8,391 |
86,704 |
14,139 |
| Motor vehicle expenses |
10,171 |
15,566 |
25,635 |
28,047 |
| Travel expenses |
122,955 |
45,531 |
309,732 |
79,887 |
| Exploration and drilling costs |
10,101 |
791,278 |
905,962 |
824,120 |
| Depreciation expense |
7,434 |
8,277 |
23,788 |
11,179 |
| Rental expense |
484 |
19,601 |
40,137 |
25,739 |
| Other |
129,590 |
183,364 |
369,371 |
320,791 |
| |
623,306 |
1,336,907 |
2,592,661 |
1,494,755 |
5. ADMINISTRATIVE EXPENSES
| |
|
|
|
|
| Audit & accounting fees |
31,854 |
1,058 |
65,575 |
1,058 |
| Business development |
- |
17,644 |
- |
17,644 |
| Share option expense |
- |
948,000 |
- |
948,000 |
| Legal fees |
33,979 |
69,245 |
349,361 |
72,432 |
| Management fees |
106,674 |
95,614 |
307,206 |
95,614 |
| Share registry costs |
18,870 |
148,905 |
49,116 |
148,905 |
| Other |
53,167 |
62,315 |
170,581 |
63,497 |
| |
244,544 |
1,342,781 |
941,839 |
1,347,150 |
Share option expense represents the amortisation
of notional value placed on these options and does not represent a
cash payment by the Company.
6. CONTRIBUTED EQUITY
| |
|
Consolidated
March 31,
2012
Number |
Consolidated
June 30,
2011
Number |
| (a) Issued and paid up
capital: |
|
|
| Issued and fully paid shares |
150,000,000 |
150,000,000 |
Movements in contributed equity during the
past three months were as follows:
| Ordinary Shares |
Number |
US$ |
| Opening balance at 1 July 2011 |
150,000,000 |
14,493,353 |
| Total shares on issue at 31 March 2012 |
150,000,000 |
14,493,353 |
7. CASH AND CASH EQUIVALENTS
| |
|
|
|
Consolidated
March 31
2012 |
Consolidated
June 30
2011 |
| |
US$ |
US$ |
| Cash at bank and on
hand |
1,157,513 |
6,628,366 |
| |
1,157,513 |
6,628,366 |
8. CONSTRUCTION IN PROGRESS
| |
|
|
|
Consolidated
March 31
2012 |
Consolidated
June 30
2011 |
| |
US$ |
US$ |
| Heap leach construction in
progress |
1,867,637 |
411,406 |
| |
1,867,637 |
411,406 |
|
|
9. TRADE AND OTHER PAYABLES
| |
March 31, |
June
30, |
| |
2012 |
2011 |
| |
US$ |
US$ |
| Trade
creditors |
|
143,792 |
169,121 |
| Accrued expenses |
|
- |
170,138 |
| |
|
143,792 |
339,259 |
10. Reserves
|
|
March 31,
2012
US$ |
June
30,
2011
US$ |
| Acquisition reserve |
|
(4,300,157) |
(4,300,157) |
| Share based payment
reserve |
|
1,224,000 |
1,224,000 |
| |
|
(3,076,157) |
(3,076,157) |
11. SEGMENT INFORMATION
The following table presents the revenue and
result information regarding operating segments for the period
ended March 31, 2012.
| |
Nigeria |
Zambia |
Eliminations/
Unallocated |
Consolidated |
| |
March 31, 2012 |
March 31, 2012 |
March 31, 2012 |
March 31, 2012 |
| |
US$ |
US$ |
US$ |
US$ |
| |
|
|
|
|
| Other income |
160 |
1,246 |
2,505 |
3,911 |
| |
|
|
|
|
| |
|
|
|
|
| Segment
profit/(loss) |
(2,273,567) |
(389,551) |
(1,157,181) |
(3,821,299) |
| |
Nigeria |
Zambia |
Eliminations/
Unallocated |
Consolidated |
| |
March
31, 2011
|
March 31, 2011 |
March 31, 2011 |
March 31, 2011 |
| |
US$ |
US$ |
US$ |
US$ |
| |
|
|
|
|
| Other income |
139 |
- |
(35) |
104 |
| |
|
|
|
|
| |
|
|
|
|
| Segment profit/(loss) |
(1,740,288) |
(704,956) |
879,541 |
(1,565,703) |
12. EVENTS AFTER BALANCE SHEET DATE
There have been no significant events subsequent
to the balance date up to the date of this report.
SOURCE Ratel Group Limited